Okta competitor SailPoint races toward $11.5B IPO

Company Overview - SailPoint is planning to go public again, aiming to sell $1 billion worth of stock and achieve an$11.5 billion valuation in its IPO [1] - The company will offer 47.5 million shares priced between $19 to$21, with its owner Thoma Bravo also selling 2.5 million shares [1] Historical Context - SailPoint was previously a public company until it was taken private by Thoma Bravo in 2022, which valued the company at $6.9 billion at that time [2] - Post-IPO, Thoma Bravo will retain over 87$813 million in annual recurring revenue [3] - The company reported annual net losses of just over $395 million on approximately$700 million in revenues as of January 2024 [3] - SailPoint has over $1 billion in debt, with a total balance sheet debt of$1.5 billion, and plans to use IPO proceeds to address this debt and fund operations [3] Market Sentiment - The financial sophistication of SailPoint's owners may lead to the stock pricing above the proposed range, potentially exceeding the expected cash haul and valuation [4] - The CEO, Mark McClain, expressed gratitude for the opportunity to take the company public for a second time [5] Industry Implications - This IPO is not expected to benefit venture capitalists directly, but its success will be closely monitored by them as it may influence the timing of other tech startups going public [6] - Market conditions, including political factors, could impact the appetite for IPOs in the tech sector, potentially delaying other offerings [7]